Consider this situation. You work for ABC Bus Lines as a Business Analyst. The current project you are working on involves you observing and evaluating reports of consumers purchasing behavior regarding bus ticket sales from Miami, Florida, to Seattle, Washington. After three months of research, you have constructed this supply and demand chart to represent your findings:
Given your findings, your supervisor has asked you to provide your analysis and recommendations for the following:
- What is the equilibrium point, and what does it mean to us?
- What are some of the major factors that can cause overall demand to increase or decrease?
- How would our customers react to a new strategy of not offering (supplying) any tickets for less than $400?
- If we did decide to not offer (supply) any tickets for less than $400, what would the new supply and demand chart look like? (You will need to create a new chart for this part of the assignment, using Microsoft Excel)
- Your first post should be at least 500 words in length.